Record the following transactions for Sparkys Pet Shop using the general journal form provided below. Assume Sparkys
Question:
Record the following transactions for Sparky’s Pet Shop using the general journal form provided below. Assume Sparky’s uses a perpetual inventory system. Omit transaction descriptions from entries:
Date | Transaction |
July 3 | Sold merchandise on account for $3,750. The cost of the merchandise sold was $2,000 |
July 5 | Issued credit memo for the $1,050 for merchandise returned from sale on July 3. The cost of the merchandise returned was $610. |
July 12 | Received check for the amount due for sale of July 3 less return on July 5. |
August 1 | Purchased $6,000 of merchandise on account, terms 2/10, n/30. |
August 3 | Returned $1,500 of merchandise purchased on August 1 due to defects. |
August 7 | Recorded cash sales for the first week of August, $9,750 plus 6% sales taxes; cost of the merchandise was $4,000. |
August 10 | Made sale on account to a local breeder for $500, terms 1/10 net 30; cost of the merchandise was $200. |
August 11 | Paid for the merchandise purchased on August 1, less return. |
August 20 | Received payment from sale of August 10. |
College Accounting
ISBN: 978-1111528126
11th edition
Authors: Tracie Nobles, Cathy Scott, Douglas McQuaig, Patricia Bille